I've tested with an iPad and a droid tablet. If I save the file on my desktop and then access it it doesn't get displayed right. However, if I upload the file to my website it does get displayed right.

Not sure why an external stylesheet would make a difference but I am analyzing the differences between localhost and server responses. Good idea!
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user875234Jan 5 '12 at 4:48

@PeeHaa Now that you mention it, mimetype/content-type is probably it. After a recent update of Firefox 3.6, it started acting differently with html files on localhost vs on an external webserver if the mimetype is missing (I'd created a simple webserver as an experiment and wasn't returning any headers at the time).
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IzkataJan 5 '12 at 15:05

Found that the pages worked right if I set up another virtual directory in iis and accessed them there. It turns out the problem had to do with the system putting the content into an iFrame before responding.